Simelane NO and Others v Seven-Eleven Corporation SA (Pty) Ltd and Another

Seven-Eleven Corporation SA (Pty) Ltd and Seven-Eleven Africa (Pty) Ltd operated a network of convenience stores, mostly through franchisees. A small group of franchisees lodged complaints with the Competition Commission alleging prohibited practices under the Competition Act 89 of 1998, including restrictive horizontal and vertical practices, minimum resale price maintenance, excessive pricing, and exclusionary conduct. The Commission investigated the complaints and referred them to the Competition Tribunal. Seven-Eleven brought a review application in the High Court challenging the Commission’s referral decision on grounds including bias, failure to observe audi alteram partem, lack of proper investigation, and improper purpose. The High Court upheld the review and set aside the referral. The Commission officials appealed to the Supreme Court of Appeal.

The appeal was upheld and the High Court’s order reviewing and setting aside the Commission’s referral decision was overturned.

The case is a leading authority on the institutional design of South African competition law, confirming the strict separation between investigative/prosecutorial functions of the Competition Commission and the adjudicative functions of the Competition Tribunal. It limits judicial review of Commission referrals and clarifies that procedural fairness rights primarily arise at the Tribunal stage, not during investigation.